Hindalco Industries Ltd on May 20 reported a 10 percent year-on-year (YoY) rise in standalone net profit to Rs 1,561 crore for the March quarter, driven by strong performance in its Indian aluminium and copper businesses, supported by favourable macroeconomic conditions and lower input costs. The company had posted a net profit of Rs 1,412 crore in the same quarter last year.
Standalone revenue from operations rose 13 percent to Rs 25,116 crore.
On a consolidated basis, net profit jumped 66 percent to Rs 5,283 crore, while revenue rose to Rs 64,890 crore from Rs 55,994 crore, the company said in a regulatory filing. Consolidated EBITDA was at Rs 10,296 crore, up 43 percent YOY.
"Our Aluminium Upstream business in India remained a strong anchor, complemented by robust growth in the downstream business. The Copper business achieved a record EBITDA backed by strong value added product sales. Despite tighter scrap spreads, Novelis delivered a resilient performance through increased beverage can shipments," said managing director Satish Pai.
Meanwhile, Hindalco also announced acquisition of 100 percent equity stake in EMIL Mines and Mineral Resources Limited, the lease holder of the Bandha coal block, to meet the company’s strategic objective of securing resources for its aluminium smelters.
Segment results
Aluminium India posted robust numbers with upstream and downstream operations clocking double-digit revenue boost.
Quarterly aluminium upstream revenue was at Rs 10,311 crore, up 22 percent YoY and EBITDA at Rs 4,838 crore, up 79 percent YoY, driven by lower input costs and favourable macros. Meanwhile, downstream revenue rose 23 percent YOY with EBITDA expanding 52 percent at Rs 219 crore, due to favourable product mix.
Copper India revenues rose 8 percent YOY at Rs 14,565 crore.
Its U.S.-based subsidiary, Novelis Inc, posed 13 percent increase in revenue at $4.6 billion, helped by higher average aluminium price, the company said.
However, Novelis EBITDA contracted 8 percent at Rs at $473 million, impacted by higher aluminium scrap prices and operating costs, partially offset by higher product pricing.
"Despite headwinds, Novelis delivered a resilient performance with strong shipments in both the fourth quarter and the full year, led by robust demand for beverage packaging," the company added.
The company also recommended a dividend of Rs 5 per equity share of Re 1 each for the financial year ended March 31, 2025.
Shares of Hindalco Industries Ltd settled higher at Rs 666 per share on the NSE, up 1.16 percent.
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